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Here's Why You Should Add ARQT Stock to Your Portfolio Now
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Key Takeaways
Arcutis lifted 2026 net product revenue guidance to $525-$540 million on Zoryve's continued momentum.
ARQT is testing Zoryve in vitiligo and hidradenitis suppurativa while advancing ARQ-234 for atopic dermatitis.
Zoryve's pediatric expansion could broaden its reach, with an infant atopic dermatitis decision due in 2027.
Arcutis Biotherapeutics (ARQT - Free Report) continues to make steady progress with its flagship product, Zoryve (topical roflumilast), a highly potent and selective phosphodiesterase-4 inhibitor marketed in the United States in both cream and foam formulations.
Zoryve is approved across three major inflammatory dermatological conditions—plaque psoriasis, atopic dermatitis and seborrheic dermatitis, giving Arcutis a diversified commercial base rather than relying on a single disease indication. In the first half of 2026, the company witnessed nearly a 62% year-over-year increase to $235.3 million in its net product revenues, driven primarily by strong demand and improved gross-to-net pricing.
Given the continued momentum of the Zoryve franchise, management raised its 2026 net product revenue guidance from $480-$495 million to $525-$540 million.
Year to date, shares of Arcutis have lost 14.4% against the industry’s 11.7% growth.
Image Source: Zacks Investment Research
Expansion of Zoryve Into Larger Patient Populations
A key growth driver for Arcutis is the continued expansion of Zoryve into younger patient populations. In June, the FDA approved Zoryve cream 0.3% for plaque psoriasis in children aged two to five years.
Last month, the regulatory authority accepted Arcutis' supplemental new drug application seeking approval for Zoryve cream 0.05% in infants aged three months to under 24 months with mild-to-moderate atopic dermatitis, with a PDUFA target action date of February 23, 2027. Currently, Zoryve cream 0.05% is approved in pediatric patients aged two to five years.
Approval of the infant indication could significantly expand the addressable patient population, while providing a once-daily, steroid-free topical treatment option for a population with limited FDA-approved therapies.
Beyond the established indications, Arcutis is advancing clinical programs to broaden Zoryve’s label into additional inflammatory dermatological conditions. The company is evaluating Zoryve foam 0.3% in separate mid-stage proof-of-concept studies for label expansion opportunities into vitiligo and hidradenitis suppurativa with top-line data readouts expected in the fourth quarter of 2026 and first quarter of 2027, respectively. Positive results in either indication could extend the Zoryve franchise beyond its current three approved diseases and create additional revenue opportunities.
Arcutis is developing ARQ-234, a fusion protein and highly selective agonist of the CD200 receptor, as a potential biologic treatment for atopic dermatitis. The company initiated its first-in-human phase Ia/Ib study this year to evaluate safety and tolerability in healthy volunteers and adults with moderate-to-severe atopic dermatitis.
ARQT's Zacks Rank & Estimates
Arcutis currently carries a Zacks Rank #2 (Buy).
Over the past 30 days, estimates for ARQT’s 2026 earnings per share (EPS) have increased from 16 cents to 40 cents, and 2027 estimates for EPS have improved from 96 cents to $1.14.
Over the past 30 days, estimates for Precigen’s 2026 loss per share have improved from a loss of 2 cents to earnings per share of 25 cents. Over the same period, earnings estimates for 2027 have risen from 25 cents to 86 cents. PGEN shares have increased 72% year to date.
Precigen’s earnings beat estimates in three of the trailing four quarters and missed in the remaining one, with the average surprise being 108.96%.
Over the past 30 days, estimates for AC Immune’s 2026 loss per share have narrowed from 84 cents to 60 cents. Over the same period, earnings estimates for 2027 remained unchanged at 17 cents. ACIU shares have declined 13.7% year to date.
AC Immune’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 33.25%.
Over the past 30 days, estimates for Aldeyra Therapeutics’ 2026 loss per share have improved from 43 cents to 39 cents. Over the same period, loss per share estimates for 2027 have also narrowed from 22 cents to 16 cents. ALDX shares have declined 70.3% year to date.
Aldeyra Therapeutics’ earnings beat estimates in each of the trailing four quarters, with the average surprise being 29.25%.
View the Zacks #1 Rank List
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Here's Why You Should Add ARQT Stock to Your Portfolio Now
Key Takeaways
Arcutis Biotherapeutics (ARQT - Free Report) continues to make steady progress with its flagship product, Zoryve (topical roflumilast), a highly potent and selective phosphodiesterase-4 inhibitor marketed in the United States in both cream and foam formulations.
Zoryve is approved across three major inflammatory dermatological conditions—plaque psoriasis, atopic dermatitis and seborrheic dermatitis, giving Arcutis a diversified commercial base rather than relying on a single disease indication. In the first half of 2026, the company witnessed nearly a 62% year-over-year increase to $235.3 million in its net product revenues, driven primarily by strong demand and improved gross-to-net pricing.
Given the continued momentum of the Zoryve franchise, management raised its 2026 net product revenue guidance from $480-$495 million to $525-$540 million.
Year to date, shares of Arcutis have lost 14.4% against the industry’s 11.7% growth.
Image Source: Zacks Investment Research
Expansion of Zoryve Into Larger Patient Populations
A key growth driver for Arcutis is the continued expansion of Zoryve into younger patient populations. In June, the FDA approved Zoryve cream 0.3% for plaque psoriasis in children aged two to five years.
Last month, the regulatory authority accepted Arcutis' supplemental new drug application seeking approval for Zoryve cream 0.05% in infants aged three months to under 24 months with mild-to-moderate atopic dermatitis, with a PDUFA target action date of February 23, 2027. Currently, Zoryve cream 0.05% is approved in pediatric patients aged two to five years.
Approval of the infant indication could significantly expand the addressable patient population, while providing a once-daily, steroid-free topical treatment option for a population with limited FDA-approved therapies.
Pipeline Expansion Provides Additional Long-Term Upside
Beyond the established indications, Arcutis is advancing clinical programs to broaden Zoryve’s label into additional inflammatory dermatological conditions. The company is evaluating Zoryve foam 0.3% in separate mid-stage proof-of-concept studies for label expansion opportunities into vitiligo and hidradenitis suppurativa with top-line data readouts expected in the fourth quarter of 2026 and first quarter of 2027, respectively. Positive results in either indication could extend the Zoryve franchise beyond its current three approved diseases and create additional revenue opportunities.
Arcutis is developing ARQ-234, a fusion protein and highly selective agonist of the CD200 receptor, as a potential biologic treatment for atopic dermatitis. The company initiated its first-in-human phase Ia/Ib study this year to evaluate safety and tolerability in healthy volunteers and adults with moderate-to-severe atopic dermatitis.
ARQT's Zacks Rank & Estimates
Arcutis currently carries a Zacks Rank #2 (Buy).
Over the past 30 days, estimates for ARQT’s 2026 earnings per share (EPS) have increased from 16 cents to 40 cents, and 2027 estimates for EPS have improved from 96 cents to $1.14.
Other Stocks to Consider
Some other top-ranked stocks in the biotech sector are Precigen (PGEN - Free Report) , currently sporting a Zacks Rank #1 (Strong Buy), while AC Immune (ACIU - Free Report) and Aldeyra Therapeutics (ALDX - Free Report) carry a Zacks Rank #2 each. You can see the complete list of today’s Zacks #1 Rank stocks here.
Over the past 30 days, estimates for Precigen’s 2026 loss per share have improved from a loss of 2 cents to earnings per share of 25 cents. Over the same period, earnings estimates for 2027 have risen from 25 cents to 86 cents. PGEN shares have increased 72% year to date.
Precigen’s earnings beat estimates in three of the trailing four quarters and missed in the remaining one, with the average surprise being 108.96%.
Over the past 30 days, estimates for AC Immune’s 2026 loss per share have narrowed from 84 cents to 60 cents. Over the same period, earnings estimates for 2027 remained unchanged at 17 cents. ACIU shares have declined 13.7% year to date.
AC Immune’s earnings beat estimates in each of the trailing four quarters, with the average surprise being 33.25%.
Over the past 30 days, estimates for Aldeyra Therapeutics’ 2026 loss per share have improved from 43 cents to 39 cents. Over the same period, loss per share estimates for 2027 have also narrowed from 22 cents to 16 cents. ALDX shares have declined 70.3% year to date.
Aldeyra Therapeutics’ earnings beat estimates in each of the trailing four quarters, with the average surprise being 29.25%.